Current Affairs 21st May 2018

Foreign Investors Cold to Residency

Scheme :-

Two years earlier, Union government had launched the Permanent Residency Status (PRS) scheme providing a host of facilities for foreigners who invest at least Rs. 10 crore under the Foreign Direct Investment (FDI) route.

About PRS Scheme :-

• The Union Cabinet had cleared the PRS in 2016 to boost its “Make in India” policy. 
• The scheme is open for foreign investors who invest a minimum of Rs. 10 crore within 18 months or Rs. 25 crore in 36 months.
• The foreign investment should result in generating employment to at least 20 resident Indians in every financial year.
• PRS will be granted for a period of 10 years with multiple entry and can be renewed for another 10 years. 
• There will be no requirement of registration with the Foreigners Regional Registration Office (FRRO).
• The PRS card holders are also eligible to buy residential property in India.
• Except Pakistani citizens or third-country nationals of Pakistani origin, the scheme is open for citizens of every country.

Problems :-
After the launch of PRS Scheme, there is not a single applicant under this scheme.

Inflows dip :- From April to December 2017, the FDI inflow stood at Rs. 2,31,457 crore, a decrease from Rs. 2,40,385 crore for the corresponding period in 2016.

Permanent Residency :- Most European Union countries, the U.S., Canada and others offer permanent residency to foreign investors. For example :- The U.S. offers the EB-5 visa programme where foreigners could apply for permanent residency if they created employment opportunities for 10 people with a minimum investment of Rs. 6.5 crore. Whereas in India under PRS Scheme “citizenship” is not being offered to foreigners and was subject to review every 10 years.

AGP Confronts Shah on Citizenship Bill :-

BJP president Amit Shah on Sunday drew flak from his party’s ally in Assam over the Citizenship (Amendment) Bill, 2016. The Asom Gana Parishad (AGP) expressed its displeasure over the BJP’s bid to push the Bill, at the third conclave of the North East Democratic Alliance (NEDA), a forum of non-Congress parties of the region helmed by the BJP.

Citizenship (Amendment) Bill 2016 :- The Bill aims at granting citizenship to minorities — Hindus, Sikhs, Buddhists, Jains, Parsis and Christians — from Afghanistan, Pakistan and Bangladesh after six years of residence in India.

Bill Against Assam accord :- Assam Accord of 1985, seeks deportation of all illegal immigrants entering the State after March 24, 1971.